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NFPs Call for Stop to Health Initiative Cutbacks


Tuesday, 16th June 2015 at 11:35 am
Xavier Smerdon, Journalist
A coalition of 16 peak Not for Profit organisations from the health and community sectors have called on the Federal Government to scrap plans to cut nearly $800 million in funding to key health initiatives over the next four years.

Tuesday, 16th June 2015
at 11:35 am
Xavier Smerdon, Journalist


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NFPs Call for Stop to Health Initiative Cutbacks
Tuesday, 16th June 2015 at 11:35 am

A coalition of 16 peak Not for Profit organisations from the health and community sectors have called on the Federal Government to scrap plans to cut nearly $800 million in funding to key health initiatives over the next four years.  

The NFP coalition said foreshadowed cuts would drastically reduce the capacity of organisations and peak bodies to deliver services across the country and to provide advice and support for reform in health.

“It has been revealed in the latest round of Senate Estimates that $596.2M is to be cut from the Health Flexible Funds over the next four financial years,” Acting CEO of the Public Health Association of Australia (PHAA) Melanie Walker said.

“This is on top of cuts totalling $197.1M announced in last year’s Budget – making a total of over $793M.  There is still no clarity in relation to how these savings are to be achieved, with most existing funding contracts for NGOs set to expire either at the end of 2015 or on 30 June 2016.”

Among the 14 Flexible Funds apparently to be affected are those supporting the provision of essential services in rural, regional and remote Australia; working to Close the Gap in health outcomes for Indigenous Australians; managing vital responses to communicable diseases; and delivering substance use treatment services around the country.  

“Obviously it's of great concern to all the services and organisations potentially affected,” Walker said.

“Any cuts to the Health Flexible Funds will just put more barriers in place for Aboriginal people to access essential health programs and services particularly in rural and remote Australia.  While we welcome the Minister’s announcement on quarantining the specific Aboriginal and Torres Strait Islander Chronic Disease Fund many of our organisations receive project funding from the other Funds, so efforts to Close the Gap in health outcomes and life expectancy for Indigenous Australians will still be severely hampered if the cuts go ahead,” CEO of the National Aboriginal Community Controlled Health Organisation (NACCHO), Lisa Briggs said.

“Alcohol and other drug services would be severely impacted by any funding cuts.  The Government has recognised the importance of treatment and harm reduction services in the context of establishing the National Ice Taskforce focusing on methamphetamine use, which is impacting particularly on rural and regional communities throughout Australia,” spokesperson for the Alcohol and other Drugs Council of Australia (ADCA) Rebecca MacBean said.

“To think that funding for these vital services is currently under threat beggars belief.”

“Cuts to flexible funding are a significant destabilising force in the health sector, both at organisational level where there will be an impact on the viability of many Not for Profit health services, as well as on the capacity of the new Primary Health Networks; and at individual level, particularly for many of our most vulnerable people,” CEO, Australian Healthcare and Hospitals Association, Alison Verhoeven said.

“Our organisations stand together in calling on the Australian Government to scrap its plans to cut $800M in funding from the Health Flexible Funds over the next four years.  If the cuts go ahead it could decimate NGO sector responses to many of the key challenges in public health and leave Australian families and communities without the support they need,” Deputy Chair, Australian Health Care Reform Alliance (AHCRA) Tim Woodruff said.


Xavier Smerdon  |  Journalist |  @XavierSmerdon

Xavier Smerdon is a journalist specialising in the Not for Profit sector. He writes breaking and investigative news articles.

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